Singapore firm rejects paying $1 billion for Sri Lankan pollution damages

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A Singapore shipping institution told AFP connected Tuesday (September 23, 2025) it volition garbage to wage Sri Lankan court-ordered damages of U.S. $1 cardinal for causing that country's worst lawsuit of biology pollution.

In an exclusive interview, X-Press Feeders main enforcement Shmuel Yoskovitz said helium believed paying would person wide-ranging implications connected planetary shipping and "set a unsafe precedent".

The institution operated the MV X-Press Pearl that sank disconnected Colombo Port successful June 2021 aft a occurrence — believed caused by a nitric acerb leak — that raged for astir 2 weeks.

Also Read | Sri Lanka evacuates unit from burning ship

Its cargo included 81 containers of hazardous goods, including acids and pb ingots, and hundreds of tonnes of integrative pellets.

The vessel was refused support by ports successful Qatar and India to offload the leaking nitric acerb earlier it arrived successful Sri Lankan waters.

Tonnes of microplastic granules from the vessel inundated an 80-kilometre (50-mile) agelong of formation on Sri Lanka's occidental coast. Fishing was prohibited for months.

Sri Lanka's Supreme Court successful July ordered the institution to wage Colombo an "initial" US$1 cardinal successful damages wrong a year, with the archetypal tranche of US$250 cardinal to beryllium paid by Tuesday.

It besides ordered the institution "to marque specified different and further payments" successful the aboriginal arsenic the tribunal whitethorn direct.

'Hanging guillotine'

Mr. Yoskovitz rejected the open-ended quality of the penalty.

"We are not paying due to the fact that the full basal of maritime commercialized is based connected the regulation of liability. This judgement undermines this regulation of liability," helium told AFP.

"Any outgo towards the judgement could acceptable a unsafe precedent for however maritime incidents volition beryllium resolved successful the future," helium said.

Sri Lanka's authorities said it would inquire its main authoritative what enactment it could take.

"We volition beryllium guided by the proposal of the lawyer wide connected what further steps to take," authorities spokesperson and media Minister Nalinda Jayatissa told reporters successful Colombo.

The United Nations bureau successful Colombo noted that the "polluter pays" rule was enshrined successful planetary agreements, including the UN Convention connected the Law of the Sea.

"The Supreme Court's ruling is simply a captious measurement toward justness and accountability," the UN successful Sri Lanka said connected X.

Mr. Yoskovitz said the lack of limitations could pb to higher security premiums, which would beryllium yet passed connected to consumers.

The main enforcement again apologised for the incident, saying the institution recognised the catastrophe and was trying to marque amends.

He said X-Press Feeders had already spent $170 cardinal to region the wreck, cleanable up the seabed and beaches, and compensate affected fishermen.

"We are not trying to hide... We are consenting to wage more, but it has to beryllium nether definite marine conventions and an magnitude that is afloat and last and past it tin beryllium settled, and we tin determination on," helium said.

"But to unrecorded nether this hanging guillotine — it is simply intolerable to run similar this."

Long-term effects

In Colombo, Sri Lanka's Supreme Court has scheduled a proceeding connected Thursday astir the implementation of its decision.

One of the petitioners who sought compensation for the contamination has called for further probe to find the afloat grade of the harm to the island's marine ecosystems.

"If you sojourn the coastlines today, determination is thing disposable successful presumption of integrative pollution. A large clean-up took spot soon aft the X-Press Pearl incident, but the effects of the contamination volition beryllium felt for a agelong time," said Hemantha Withanage from the Centre for Environmental Justice.

It remains unclear however Sri Lanka's Supreme Court could enforce its decision.

However, successful its 361-page determination successful July, the tribunal ordered the constabulary and the authorities authoritative to initiate transgression proceedings for non-compliance if the parties were contiguous successful Sri Lanka.

Mr. Yoskovitz expressed interest implicit the ship's Russian captain, Vitaly Tyutkalo, who has been banned from leaving Sri Lanka for much than 4 years, arsenic good arsenic the company's third-party agents there.

The steadfast had offered to wage a good for the skipper's release, but this was refused, according to Yoskovitz.

X-Press Feeders obtained an bid from London's Admiralty Court successful July 2023, limiting its liability to a maximum of 19 cardinal pounds (US$25 million), but Sri Lanka has challenged that.

The Sri Lankan authorities besides filed a suit against the ship's owners successful the Singapore International Commercial Court. But that has been stayed pending the effect of the lawsuit successful London, with a pre-trial proceeding expected successful May 2026.

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